Philippines VAT Calculator
Calculate the 12% Value-Added Tax (VAT) on any amount in Philippine pesos, with step-by-step workings. Add VAT to a price or remove it from a VAT-inclusive price.
VAT Calculator
12% VAT Rate
The standard Value-Added Tax rate on most goods and services in the Philippines
₱3 Million Threshold
Businesses with annual gross sales or receipts above ₱3,000,000 must register for VAT
Quarterly Returns
VAT is reported every quarter on BIR Form 2550Q, due within 25 days after the quarter ends
Senior & PWD Discounts
Senior citizens and persons with disability get a 20% discount and VAT exemption on certain purchases
How VAT works in the Philippines
What is VAT in the Philippines?
Value-Added Tax (VAT) is a 12% consumption tax on the sale of most goods and services in the Philippines. Businesses charge it to customers (output VAT) and can generally claim back the VAT they paid on purchases (input VAT).
How do I add VAT to a price?
Multiply the VAT-exclusive price by 1.12. For example, ₱1,000 plus 12% VAT is ₱1,120.
How do I remove VAT from a VAT-inclusive price?
Divide the VAT-inclusive price by 1.12. For example, ₱1,120 ÷ 1.12 = ₱1,000, so the VAT is ₱120.
Who must register for VAT?
Generally, businesses whose annual gross sales or receipts exceed ₱3,000,000 must register for VAT. Smaller businesses are usually subject to percentage tax instead. Always confirm your situation with the BIR.
What is the difference between VAT-exempt and zero-rated?
Zero-rated sales (such as qualified exports) carry 0% VAT, and the seller can still claim input VAT. VAT-exempt sales carry no VAT, and the seller generally cannot claim input VAT on related purchases.
Important Disclaimer
This calculator is for estimation purposes only. The calculations are based on the standard 12% VAT rate and may not account for circumstances specific to your business or transaction.
- This tool does not constitute professional tax advice
- Some goods and services are VAT-exempt or zero-rated
- Consult the Bureau of Internal Revenue (BIR) or a qualified tax professional for specific advice
- Users are responsible for ensuring compliance with current tax laws